Social Security Questions Part 3/3
Posted on October 2, 2016 by bob in Social Security
Question: What is a Social Security “credit?”
Answer: During your working years, earnings covered by Social Security are posted to your record. You earn Social Security credits based on those earnings. The amount of earnings needed for one credit rises as average earnings levels rise. To learn how much you need to earn for a credit, please visit www.social security.gov/planners/credits. You can earn up to a maximum of four credits a year. Most people will need a minimum of 40 credits (or 10 years of work) to be eligible for retirement benefits. Learn more by reading the online publication How You Earn Credits at 
www.socialsecurity.gov/pubs/10072.html.
Question: I’m retiring early, at age 62, and I receive investment income from a rental property I own. Does investment income count as earnings?
Answer: No. We count only the wages you earn from a job or your net profit if you’re self-employed. Non-work income such as annuities, investment income, interest, capital gains, and other government benefits are not counted and will not affect your Social Security benefits. Most pensions will not affect your benefits. However, your benefit may be affected by government pensions earned through work on which you did not pay Social Security tax. You can retire online at www.socialsecurity.gov. For more information, call us toll-free at 1-800-772-1213 (TTY 1-800-325-0778).
Question: I have two minor children at home and I plan to retire this fall. Will my children be eligible for monthly Social Security benefits after I retire?
Answer: Monthly Social Security payments may be made to your children if:
— they are unmarried and under age 18;
— age 18 or 19 and still in high school; or
— age 18 or older, became disabled before age 22, and continue to be disabled.
Children who may qualify include a biological child, adopted child, or dependent stepchild. (In some cases, your grandchild also could be eligible for benefits on your record if you are supporting them.) For more information, see our online publication, Benefits For Children, at www.socialsecurity.gov/pubs.
Question: A few months after I started receiving my Social Security retirement benefit, my former employer offered to take me back. It’s a great offer. Can I withdraw my retirement claim and reapply later to increase my benefit amount?
Answer: Social Security understands that unexpected changes may occur after you begin receiving retirement benefits. If you change your mind, you may be able to withdraw your Social Security claim and re-apply at a future date. This withdrawal must occur within 12 months of your original retirement, and you are limited to one withdrawal during your lifetime. Keep in mind, you must repay all of the benefits you received. You can learn more about the one-year period when you can postpone your benefits at www.socialsecurity.gov/retire2/withdrawal.htm
Question: I went back to work after retiring, but now the company I work for is downsizing. I’ll be receiving unemployment benefits in a few weeks. Will this affect my retirement benefits?
Answer: When it comes to retirement benefits, Social Security does not count unemployment as earnings, so your retirement benefits will not be affected. However, any income you receive from Social Security may reduce your unemployment benefits. Contact your state unemployment office for information on how your state applies the reduction to your unemployment compensation.
Question: My spouse and I have been married for over 30 years and we are about to retire. Will there be any reduction in benefits because we are married?
Answer: None at all. We calculate lifetime earnings independently to determine each spouse’s Social Security benefit amount, and couples aren’t penalized because they are married. When both spouses meet all other eligibility requirements to receive Social Security retirement benefits, each spouse receives a monthly benefit amount based on his or her own earnings. If one member of the couple earned low wages or failed to earn enough Social Security credits to be insured for retirement benefits, he or she may be eligible to receive benefits as a spouse. Learn more about earning Social Security credits by reading our publication, How You Earn Credits, available at www.socialsecurity.gov/pubs.
Kylle’ McKinney, SSA Public Affairs Specialist, can be reached by e-mail at kylle.mckinney@ssa.gov.
